KONGSBERG AUTOMOTIVE (KA) SETTLES RECALL CASE WITH BRP AND TELEFLEX

KA has made a settlement with Bombardier Recreational Products (BRP) and Teleflex regarding compensation for costs incurred in connection with recall of Can-Am Spyder vehicles manufactured by BRP.

The settlement concerns a claim filed by BRP at the Superior Court of Quebec amounting to 16 million Canadian dollars for costs incurred by BRP in connection with recall of BRP’s Can-Am Spyder vehicles. The vehicles were recalled as some vehicle owners had experienced problems with the power steering of the vehicle. The steering unit (DPS) was designed by Teleflex but manufactured and sold to BRP by KA.

KA will according to the settlement, after being credited for own costs related to the recall, pay compensation to BRP of less than 20 % of the claim, with $1 million payable up front, already accrued in 2011, and the remainder through future program savings.

Media:

Hans Jørgen Mørland, Director of Corporate Communications

Phone: 4732770511. Mobile: 4794863570

Investors / analysts:

Philippe Toth, Director, M & A / Investor Relations

Phone: 4732770503. Mobile: 4798214021

Kongsberg Automotive is headquartered in Kongsberg, Norway and has 48 facilities in 20 countries. Kongsberg Automotive, with more than 10.000 employees, provides system solutions to vehicle makers around the world. The product portfolio includes gearshift systems, cables for a wide variety of applications, fuel lines, tubing and hoses, couplings, clutch actuation, stabilizing rods, seat heaters, seat ventilation, lumbar supports, head restrains, arm rests, steering columns, pedals, electronics and displays. Find more information at www.kongsbergautomotive.com.